Origin Energy was proposing to construct up to 1,000MW gas powered base/intermediate load plant at Mortlake in Western Victoria, according to ‘Fuel resource, new entry and generation costs in the NEM’, a report to NEMMCO by ACIL Tasman (27/3/2007).

Gas supply and transport: It was envisaged the station would comprise two 500MW CCGT (combined cycle gas turbine) units. The station would be supplied with natural gas via a 78km dedicated pipeline from the new gas processing plant being built near Port Campbell, as part of the offshore Otway gas project. Gas supply for the station would be provided from Origin Energy’s share of output from the project. Origin Energy noted that the “forecast supply and demand in the NEM does not signal the need for the Mortlake Power Station prior to 2010”

Projected costs: “As gas will most likely be provided from Origin Energy itself, we have provided the projected opportunity cost of gas at this location rather than estimates of Otway gas project development costs,” the report added.